Allegro Microsystems Inc (ALGM)
Return on equity (ROE)
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -73,010 | 152,697 | 187,357 | 119,407 | 17,953 |
| Total stockholders’ equity | US$ in thousands | 931,100 | 1,130,440 | 965,628 | 734,207 | 585,752 |
| ROE | -7.84% | 13.51% | 19.40% | 16.26% | 3.06% |
March 31, 2025 calculation
ROE = Net income ÷ Total stockholders’ equity
= $-73,010K ÷ $931,100K
= -7.84%
Allegro Microsystems Inc's Return on Equity (ROE) has shown varying trends over the past five years. From March 31, 2021, where the ROE was 3.06%, there was a notable increase to 16.26% by March 31, 2022. This improvement continued into March 31, 2023, reaching a higher ROE of 19.40%. However, in the following year, the ROE decreased to 13.51% as of March 31, 2024.
The most recent data point, as of March 31, 2025, shows a negative ROE of -7.84%. This negative return suggests that Allegro Microsystems Inc's net income may not be sufficient to cover the shareholders' equity, indicating potential financial challenges or mismanagement.
Overall, while there has been a general improvement in ROE from 2021 to 2023, the negative ROE in 2025 is a cause for concern and may require further investigation into the company's financial performance and operational efficiency.
Peer comparison
Mar 31, 2025